Impact of climate change mitigation policies on sustainable development performance in Ethiopia

This paper examines the interplay between climate change mitigation policies and sustainable development in Ethiopia from 2000 to 2021, using a time series dataset from the World Bank. Using game theory alongside the autoregressive distributed lag model and the error correction model, the study finds a significant positive relationship between increased forest area cover and sustainable development, highlighting forests’ role as carbon sinks. Effective climate policies contribute to reducing greenhouse gas emissions, with initiatives like the National REDD+ program and the Green Legacy Initiative significantly decreasing net forest depletion. The adoption of renewable energy is crucial for long-term development. While policy interventions can drive rapid changes, challenges persist in balancing resource availability with extraction. The study advocates for a holistic approach to forest management and resource practices, with policies tailored to emission levels for greater effectiveness. Insights inform global discussions on climate strategies, benefiting policymakers, researchers and practitioners.